UPDATE 1-United to resume domestic flights after tech disruption
Jan 22 United Airlines said it would resume services after grounding all domestic flights following a computer glitch on Sunday.
FRANKFURT, Sept 4 Consolidation in the banking industry is inevitable, Deutsche Bank's co-chief executive Anshu Jain said on Wednesday, as the costs of litigation and a raft of new rules change the economics of the financial services industry.
"There is a clear consolidation of the industry and there is a simplification of the business model," Jain told a banking conference.
The banks which will survive going forward are either regional lenders, such as German savings banks, or banks with focused business models and a global presence, he said.
"There is a tremendous opportunity to take market share organically but, frankly, inorganically as well," Jain said.
Asked what role Deutsche Bank could play in the consolidation, Jain said, "I think I was very clear that there is a lot of work that lies ahead for the banking industry and Deutsche Bank in particular".
Deutsche Bank is still working on meeting global rules on capital and risk, Jain said, adding, "We are not at the finishing line."
While before the crisis it was difficult to differentiate between a state-controlled Landesbank and Deutsche Bank, the industry has now forced a change which will benefit banks with sound brands and strong capital bases, he said.
"No German bank is as global as we are, and no global bank is as German as we are," Jain said.
Although consolidation is likely to continue, Jain said the industry still lacks a mechanism to make large banks safer.
"I will not stand here and pretend that the 'too big to fail' model has been solved," Jain said, referring to the problem of how to shelter taxpayers from paying for a bailout.
"The entire sector has to get to the point, that no matter what takes place the odds that we will come back to the taxpayer will be reduced to nothing."
Although some banks are too big to fail, Jain said there was a need for scale so that banks can operate on a global basis.
"There is a minium scale for efficiency. It is a little misleading to think you can be small and globally competitive," he said.
TOKYO, Jan 23 The dollar skidded in Asian trade on Monday, with the euro hitting its highest levels in more than a month as investors locked in gains on the greenback's recent rise as they waited for U.S. President Donald Trump to offer details of his promised stimulus.
Jan 23 The following are the top stories in the Financial Times. Reuters has not verified these stories and does not vouch for their accuracy.